WSJ, April 29, 1996 Software-Scrambling Proponents Pushing To Ease Export Curbs New York -- Champions of encryption software -- computer programs that scramble data to thwart eavesdroppers -- this week will step up efforts to loosen export restrictions on the technology. Sen. Conrad Burns (R., Mont.) is expected to introduce tomorrow a bill that would ease the federal government's export rules. At the same time, industry-trade groups and privacy advocates will seek grass-roots support via the Internet. Current regulations limit the export of encryption software to weak systems that are presumed easy for intelligence and law-enforcement organizations to crack. The Clinton administration has opposed the sale of stronger systems, saying terrorists or other foes could use them to conduct operations without being monitored. But technology executives contend these regulations hamper their ability to compete overseas. And because the regulations govern any software that incorporates the technology to keep data secure, they can impede exports of electronic-mail systems, World Wide Web software and other Internet-related packages. "Right now, the industry is just wondering whether the administration will deal with this before we start losing market share," said D. James Bidzos, chief executive officer of RSA Data Security Inc., a Redwood City, Calif., concern that supplies encryption software. The new bill would give software makers free rein to sell scrambling systems overseas as long as the same systems are widely available in the U.S. Other encryption technologies could be exported as well if similar products are already generally available outside the U.S. -----